New Jersey § 52:27d-489k4

§ 52:27d-489k4.

a. If authorized by ordinance of a municipality adopted pursuant to subsection a.

of section 3 of P.L.2018, c. 97 ( C.52:27D-489k3 ), payments required to be made in accordance with an incentive grant pledge entered

into pursuant to sections 1 through 11 of P.L.2018, c. 97 ( C.52:27D-489k1 et seq. ) shall be a continuous lien on the land or improvements thereon, or both, or a continuous

lien on any leasehold interests in the land or improvements thereon, or both, against

which the ordinance is recorded on and after the date of recordation of both the ordinance

and the agreement, whether simultaneously or not, or the date of confirmation of the

special assessments, whichever is earlier. All subsequent payments of the incentive grant pledge thereunder, interest, penalties,

and costs of collection which thereafter fall due or accrue shall be added and relate

back to and be a part of the initial lien. Upon recordation of the ordinance and agreement, the incentive grant pledge shall

constitute an automatic, enforceable, and perfected statutory municipal lien for all

purposes, including the federal bankruptcy code, regardless of whether the amount

of the incentive grant pledge has been determined at the time the lien attaches to

any interest in the land, leasehold estate, or improvements, as applicable. A confirmation hearing process to determine the amount due shall not affect the

commencement or validity of a lien established pursuant to subsection a. of section

3 of P.L.2018, c. 97 ( C.52:27D-489k3 ). Notwithstanding any other applicable law, for the purposes of subsection a. of section

3 of P.L.2018, c. 97 ( C.52:27D-489k3 ), a municipal lien on a leasehold estate shall constitute a lien against such leasehold

estate only, unless the redevelopment incentive grant agreement specifically provides

for a lien on the underlying fee interest in the land. In any case, enforcement of a municipal lien on a leasehold estate shall be limited

to an in rem proceeding only. No municipal lien shall attach to any interest of an authority or any entity created

by the State unless the authority or entity shall have expressly consented to such

lien in the redevelopment incentive grant agreement. b. If bonds are issued, the municipality or the developer, as the case may be, may

record, either simultaneously or at different times, any ordinance adopted by the

municipality relating to the incentive grant pledge or special assessments and, either

simultaneously with the ordinance or at different times, a copy of the agreement or

agreements. The ordinance, when recorded, shall contain a legend at the top of the front page

substantially as follows: THIS ORDINANCE SECURES BONDS OR OTHER OBLIGATIONS ISSUED IN ACCORDANCE WITH THE PROVISIONS

OF THE “ECONOMIC REDEVELOPMENT AND GROWTH GRANT BOND FINANCING ACT” AND THE LIEN HEREOF

IN FAVOR OF THE OWNERS OF SUCH BONDS OR OTHER OBLIGATIONS IS A MUNICIPAL LIEN SUPERIOR

TO ALL OTHER NON-MUNICIPAL LIENS HEREAFTER RECORDED. c. Notwithstanding any law to the contrary, upon recordation of both the ordinance

and any accompanying agreement, the lien thereof shall be perfected for all purposes

in accordance with law and the lien shall thereafter be superior to (1) all non-municipal

liens thereafter recorded or otherwise arising, and, (2) each prior lien where the

lienholder consents, without any additional notice, recording, filing, continuation

filing, or action, until the payment in full of the bonds. The lien thereby established shall apply not only to the bonds initially issued,

but also to any refinancing or refunding thereof, as well as to any additional bonds

thereafter issued on a parity therewith in accordance with the provisions of the original

documents securing the initial bonds; provided, however, that in the event any ordinance

or agreement is amended or supplemented in a way which increases the amount of an

incentive grant pledge or special assessments, the lien as to that increase shall

be perfected and apply upon the recordation of the amended or supplemented ordinance

and agreement (including the above-recited legend). Except as set forth in this section, no amendment or supplement to the ordinance

or agreement thereafter recorded shall affect the perfection or priority of the lien

established upon original recordation thereof. d. Upon the final payment in full of any bonds secured as provided in sections 1 through

11 of P.L.2018, c. 97 ( C.52:27D-489k1 et seq. ), the lien established hereby shall terminate, and the trustee shall record a notice

to that effect.